Apple is the biggest cell phone manufacturing company in the world. It has been one of the best-performing companies from the last decade especially due to innovations which characterized the company’s performance. Under the leadership of Steve, Jobs Apple managed to introduce these unique products into the market. There was the iPad, iPod an iPhone. The iPod was the first product to be introduced in 2001, I-Phone followed it in 2007, and the IPad came later in 2011. These products define what Apple is all about. The products have built the company from a little company to a world-leading firm.
Due to the rapid growth that the company recorded in the last decade, the company attracted many stock investors. For the last ten years, the company was making consistent profits. Investors who took the opportunity have managed to make good profits from the increase in stock prices.However, according to investment adviser Paul Mampilly, it is no longer prudent to invest in this company. The good days of Apple are over. The company can no longer make consistent profits. It has failed to keep up with the innovation trend in today’s market. The company has not released any new product since 2011 under the leadership of Steve Jobs. Since he died, the innovative edge of this company was also gone. They no longer make products that were bringing a new revolution in the world like the three products.
Paul Mampilly is reading into this lackluster performance from Apple and is predicting that it will start affecting the company very soon. There is no way the share value of the company will continue going up while there is no productivity. The company needs to introduce new products in the market which will improve its sales. Paul Mampilly thinks that 2018 will not be a good year for Apple. For the first time in a long time, the stock process will go down. Investors who are thinking of investing in the company need to reconsider their decision. A company that has not introduced a new product in the market for the last seven years cannot continue doing better. There will be no driving force to take the sales up.
About Paul Mampilly
Pail Mampilly a former hedge fund manager with a firm called Kinetic Assets Management. He is also the winner of the Templeton awards in 2009 and the author of the “Profits Unlimited” newsletter.